Pages

Wednesday, March 19, 2014

Market Summary -- 19th Mar 14

FTSE STI closed 3,080.75, down 13.09 points or -0.42% with a total volume of 2.34b and a total value of S$1.21b. Total number of advance vs decline was 156 vs 239. Of the 30 component index stocks, 7 closed positive, 6 unchanged and 17 in the red. The top 5 gainer component stocks were :-

US markets closed positive with at least 0.5% gain. Asian bourses were however mixed for the day with Nikkei +0.36%, SSE -0.17% and HSI -0.07%. STI started off in the red and stayed there throughout closing -0.42% in moderate volume and value. Only 7 of the 30 index stocks posted gain.

Russia decided to annex Crimea but stressed that no intention to take any other part of Ukraine next. That comment by Russia President helped eased some tension on the Ukraine issue but the Crimea issue still remain unresolved as US and EU are preparing for more sanctions to Russia. For the day, Japan reported a below expectation set of trade data and the forever worries on China slowdown plus the outcome of US Fed decision on tapering tonight triggered profit taking for Asian bourses. None of those events are of something new. Should the same old tune of US Fed tapering play again and causing Asia markets to sell down next, that will be a bargain opportunity !!!

STI was on selling mode since the start of the bell, cautious and shorting take center-stage perhaps in anticipation that US Fed will taper another US$10b tonight. If the Jardine Group of shares (Jardine C&C, JMH, JSH and HKLand were taken out, STI would have been positive for the day). That is one of the worst excuse to sell down the market. They use that then it will be the best bargain hunting opportunity again.